mkcity
1
Ok so I’m not that much of a newbie, but this is definitely a newb question. Am I not seeing things correctly?
Look at this trade log from MT4 (screenshot).
The lot size is 0.1, this means that 1 pip = $1, right?
Now look at the trade. It went down 20 points, that’s 2 pips, so I should loose $2 right? but I lost $20?
(this is a demo account)
Am I confused?
Thanks for the help.
1.00 is 1 standard lot (100,000)
.10 is 1 mini lot (10,000)
.01 is 1 micro lot (1,000)
Jake
Clint
3
Correct.
Line 1: You went SHORT (entered a SELL) at 1.3759
Line 2: You modified your order, adding SL at 1.3779, and TP at 1.3739
Line 3: Price hit your SL at 1.3779
You took a loss of [B]20 pips,[/B] which cost you $20 (in play-money).
Don’t get discouraged. We’ve all made mistakes like this, learning this business.
That’s what demo accounts are for.
Clint is correct. You did, in fact, lost 20 pips which is $20 based on a mini contract (10,000 units).
If you want to know exactly how that $20 came about, you can calculate it this way:
Loss = (entry price 1.3759 x 10,000 units) - (exit price 1.3779 x 10,000 units)
= 13759 - 13779
= [B]-$20[/B]
I hope this calculation was clear enough for you.